Walmart set to release its Amazon Prime competitor -- with a new credit card coming too
In a challenge with Amazon, Walmart is expected to unveil its own membership shopping service later this month. Dubbed Walmart Plus (Walmart+), the superstore retailer is going head-to-head with Amazon and its long-standing Prime offering.
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According to a report from Recode, Walmart was expected to unveil Walmart+ earlier this year before the pandemic derailed those initial plans. But now, the largest retailer in the U.S. (by sales revenue) is set to make a splash this summer with a $98 per year service. Walmart+ will include same-day grocery delivery, discounts on fuel purchases, and other yet-to-be-announced perks.
As more people shopped from home during the pandemic, Walmart introduced a two-hour express grocery delivery program in April for customers near select stores. That looks to expand even further with Walmart+. The Bentonville, Ark.-based retailer is said to also be considering adding video streaming entertainment at some point in the future.
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There will be a Walmart+ credit card
Walmart will reportedly introduce a Walmart+ branded credit card, but it won't be revealed as soon as Walmart+ launches. If a Walmart credit card sounds familiar, you're right -- there is already the no-annual-fee Capital One® Walmart Rewards™ Card. The biggest perk on that card is 5% unlimited cash back at Walmart.com, including grocery pickup and delivery.
Amazon has the Prime Visa Signature card exclusively for Prime subscribers, so it would make sense for Walmart to go head-to-head in the card space as well. The main benefit of the Amazon Prime Visa Signature Card is a 5% return on Amazon and Whole Foods purchases.
The information for the Capital One Walmart card and Amazon Prime Visa Signature card has been collected independently by The Points Guy. The card details on this page have not been reviewed or provided by the card issuer.
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Amazon Prime, which costs $119 annually, includes free two-day delivery on a huge number of items -- with some products even available on the same day or next day. There's also free grocery delivery in some cities, Prime Video and other benefits.
It remains to be seen whether Walmart will completely revamp its current credit card or complement it with a new offering for Walmart+ subscribers, similar to Amazon's model.
Grocery and other delivery has seen one of the biggest surges in spending in recent months.
It's no surprise that Walmart wants to capitalize on that now and leverage its vast network of brick-and-mortar stores. However, it's got a long way to catch up with the incumbent in the delivery subscription space -- Amazon. Additionally, Amazon has a built-in ecosystem with Prime Video, music, Alexa devices and more.
There's still a lot we don't know about the Walmart subscription offering and the subsequent credit card that is in the works. However, we do know both are coming -- with Walmart+ set to launch later this month and a new Walmart credit card thereafter. We'll be keeping close tabs on it as we see these two shopping giants further duke it out head-to-head.
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